Anglo American hand boss Mark Cutifani £5.3m pay package in first year, including £835,000 top-up to help him move house

Anglo American handed boss Mark Cutifani a £5.3m pay package in his first year, including an £835,000 top-up to help him move house.

The mammoth deal was rubber-stamped by the mining firm’s remuneration committee leader Sir Philip Hampton, the Royal Bank of Scotland chairman who has faced intense pressure to rein in pay at the bank.

Cutifani, who took over from Cynthia Carroll in April 2013, took home a basic salary of £891,000 in 2013, a cash-and-shares bonus worth £1.2m and £267,000 of cash in lieu of a pension payment. But he also got £2m to compensate him for incentive schemes forfeited upon leaving former employer AngloGold Ashanti and a further £835,000 ‘relocation allowance’.

Anglo said the payment was to help cover the cost of moving from South Africa to London.

Cutifani will also be reimbursed for tax paid on the allowance, with the exact amount to be disclosed in future annual reports.

Campaign
group the High Pay Centre said the generous deal was an example of how
the City pay culture has spiralled out of control

‘This
is a classic example of how executive pay has become a bit of a
racket,’ said a spokesman. ‘Sir Philip Hampton has recognised that
excessive pay does a great deal of harm to trust in business in his role
as chair of RBS, so it is disappointing that he has used a less
high-profile position at Anglo-American to award such an unnecessarily
large pay package to the CEO.’